Presidential Updates

Clif’s Notes for May 26, 2020

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The Missouri legislative session ended earlier this month.

We advocated on many issues in the concluding weeks of the session. We worked on legislation that would have limited the Board of Governors’ ability to regulate the possession of firearms on campus.

We also worked on legislation that would have increased reporting requirements for universities, legislation designed to regulate academic credit for students who take advanced placement exams and numerous other bills.

None of this legislation — or any other legislation that would have substantially impacted our operations at Missouri State University — passed this year.

Thanks to our state legislators

Our team also advocated for Missouri State in the state budget.

The legislature passed a budget that holds core funding flat for all public universities. A portion of this funding is contingent on the federal government extending a Medicaid stimulus program. We will remain engaged with our federal leaders on this issue.

Passing a budget that includes flat funding for universities in the current economic environment was not an easy task. I want to say a special thanks to Sens. Dan Hegeman and Lincoln Hough, Reps. Elijah Haahr, Curtis Trent and Cody Smith, and our entire legislative delegation for supporting Missouri State in this difficult budget year.

State budget witholdings

The budget now moves to Gov. Mike Parson for his signature or veto.

You will recall that Parson announced a $7.6 million withhold for Missouri State in April. Additional withholds will likely occur before this fiscal year ends on June 30.

Parson has indicated the budget passed by the legislature for next fiscal year includes hundreds of millions of dollars in revenue that the state will not likely receive. We anticipate additional withholds being announced for next fiscal year to close this gap. Those withholds could occur as early as July.

We remain engaged with the governor and his staff to advocate that withholds be spread throughout state government and not disproportionately impact higher education.

Outlook of FY2021 budget

Despite uncertainty in state funding and enrollment, we must establish the university’s budget for next fiscal year.

The Board of Governors discussed the FY2021 budget at their meetings earlier this month.

The board approved a CPI increase of 2.3% in tuition and fees for the 2020-21 academic year. This increase, along with the tuition and fees waived last year, will generate $4.6 million in new revenue.

We also have $3.2 million in revenue carried forward from last year’s appropriation increase. Through $2.9 million in spending reductions that have already been implemented, we have more than offset our unavoidable expense increases for next fiscal year.

However, enrollment declines will have a dramatic impact on our budget. Before the pandemic, we anticipated a decline of 834 students due to the second year of large graduating classes. This decline alone will result in $5.9 million in reduced revenue, plus an additional $1.3 million in reduced auxiliary support.

We took several steps earlier this year to counteract this enrollment decline. We waived the application fee, joined the Common App, and implemented a series of recruitment and retention strategies.

Enrollment indicators showed that these strategies were working before the pandemic hit and the environment shifted. These same indicators have now become mixed, pointing to an anticipated enrollment decline that will likely exceed the projected 834 student drop.

This enrollment uncertainty, along with the likelihood of a state funding withhold, means we must further reduce expenses for the FY2021 budget.

Principles for FY2021 budget

The board approved principles that we will follow when developing the FY2021 budget.

Under these principles, we will utilize the following factors when evaluating all FY2021 cost savings options:

  1. Potential to generate substantial savings
  2. Impact on the university’s mission. Mission considerations include:
    • Academic quality and accreditation
    • Enrollment
    • Affordability
    • Student success
    • Student experience
    • Inclusive excellence
    • Public profile
  3. Impact on employees and workforce morale
  4. Impact on university risk and compliance
  5. Impact on university’s ability to generate revenue
  6. Improve efficiency and processes

The FY2021 budget will also include strategic investments to support revenue and the university’s mission. The overall need to generate substantial savings will be considered when evaluating all strategic investment options.

As always, we will use a transparent process that seeks input from stakeholders when developing this year’s budget.

Virtual Town Hall

Last week we held a Virtual Town Hall meeting to seek input from faculty and staff on the budget and other matters. If you missed the meeting, you can view the recording of the meeting on the town hall webpage.

Please send any input or questions about the FY2021 budget or any other matter to me at president@missouristate.edu.

Cost savings

At the board meeting and the town hall, we presented a budget scenario that we plan to modify and build upon in the coming weeks.

This scenario includes $10.2 million in new cost saving measures that will be incorporated in the FY2021 budget that I will present to the board in June.

These measures include:

  • Freezing 68 open positions (see my prior Clif’s Notes for details)
  • Eliminating internet incentives payments for faculty
  • Delaying the opening of the new residence hall
  • Reducing the operating budget allocation for facility repairs and classroom upgrades

We have additional cost saving measures that could be implemented after the board approves the budget. We would implement these measures only as necessary depending on the extent of our revenue decline.

These measures include:

  • Further reducing the operating budget allocation for facility repairs and classroom upgrades
  • Reducing operating budget allocations for academic equipment and the president’s enhancement fund
  • Reducing travel budgets
  • Spending $4 million in university reserves

Through these supplemental measures, we believe we can reduce expenses by an additional $6.5 million.

If our revenue declines by more than $16.7 million, we will then be forced to evaluate options for employee furloughs and/or layoffs.

Recognizing good work by faculty, staff, students

The board also discussed the university’s response to the coronavirus and our efforts to reopen the campus.

The board approved inductees into the university’s Wall of Fame. They will be inducted at a ceremony in October. This year’s inductees are:

  • Michael Carlie, professor of criminology
  • Dean Karen Horny, dean of libraries
  • Paul Kincaid, chief of staff
  • Marcia Morriset, assistant director of the Honors College
  • Howard Orms, professor of theatre and dance
  • Judi Smith, director, development and alumni

The board also offered commendations to outgoing leaders of SGA, Faculty Senate and Staff Senate. Leaders receiving commendations include:

  • Saibal Mitra, chair of Faculty Senate
  • A’dja Jones, chair of Staff Senate
  • Abdillahi Dirie, president of SGA
  • Ethan Schroeder, vice president of SGA

I want to say a special thanks to each of you. Our university is better because of your service, and I will miss working with you.

The board also approved action items related to campus facilities, including:

  • Documents necessary to close financing on the JVIC expansion project
  • An amendment to allow the university to delay receiving the new residence hall until next summer
  • A facilities use agreement to facilitate the national headquarters for the Student African American Brotherhood relocating to our campus
  • Wyrick fund expenditures approved by a student vote to combine the Multicultural Resource Center and the MRC Annex into one facility on the first floor of Plaster Student Union

Thanks for all you do for Missouri State!

Clif’s Notes for April 28, 2020

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The Coronavirus Aid, Relief and Economic Security (CARES) Act includes $13.9 million for our Springfield campus and just under $1 million for our West Plains campus. The federal government dispersed the first half of these funds last week.

These funds will help students successfully complete their classes and continue their education.

The CARES Act also provides resources that will offset some of the university’s unbudgeted revenue losses and expenses caused by the pandemic.

Fifty percent of the CARES Act funds must be used to provide emergency financial aid directly to eligible students. We have developed a plan to distribute this aid in two phases.

Phase one

Later this week, we will distribute $250 to all undergraduate, degree-seeking students with an expected family contribution of $12,000 or less.

Federal guidance prohibits us from distributing any of the CARES Act funds to students who were enrolled exclusively in an online program prior to March 13.

On the Springfield campus, this phase will result in the disbursement of approximately $1.6 million. No application will be required under this phase.

Phase two

On May 4, we will open an application process for eligible students with financial need or hardship due to coronavirus. Students can apply for grants to help cover certain expenses. We are currently working to ensure the application aligns with the guidelines defined by the U.S. Department of Education.

The deadline for applications (and to submit a FAFSA, if a student has not already done so for this academic year) will be May 15. Award amounts may be as high as $1,000.

If funds remain after all grant applications have been evaluated, we will determine an equitable method to distribute the remaining money to students.

Encourage your students

Many of our students have been impacted financially by the pandemic. These financial strains threaten their ability to re-enroll. Please join me in encouraging students to apply for these funds and continue their education at Missouri State.

I want to thank Sen. Roy Blunt, Sen. Josh Hawley, Rep. Billy Long, Rep. Jason Smith, and all of our federal lawmakers for supporting the CARES Act.

Covering costs

The other 50% of the CARES Act funds may be used to cover the university’s costs associated with the coronavirus. We are working through guidance provided by the U.S. Department of Education to determine which of the university’s revenue losses and unbudgeted expenses can be covered by these funds.

As I mentioned earlier this month, these funds will help reduce the virus’s impact on the FY2020 budget, which ends June 30. However, the university’s revenue losses and expenses related to the pandemic will exceed the relief provided by the CARES Act. We must continue to manage expenses to balance the university’s budget.

State budget planning

Yesterday the Missouri General Assembly reconvened. Leadership has indicated that the legislature will work on the FY21 state budget during the next two weeks. We expect funding cuts as part of this process.

We have been advocating that reductions be spread out so that universities do not take a disproportionate share of the cuts.

We remain engaged with our elected officials, and I will update you as decisions are made.

Thanks for all you do for Missouri State!

Clif’s Notes for Jan. 28, 2020

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Earlier this month Governor Mike Parson released his budget recommendations. Those recommendations:

  • Maintain our core operating appropriation, including the $10 million increase passed last year.
  • Include $1.8 million in one-time funding to establish the Missouri Cybersecurity Center of Excellence at JVIC.
  • Increase appropriations for state scholarship and grant programs used by many of our students (Access Missouri, A+, Fast Track and Bright Flight).

These recommendations include some of MSU’s legislative priorities for this year. We are grateful for Gov. Parson’s support.

We have already begun working with the legislature to advocate for our other priorities. Earlier this month I testified in support of our priorities to the House Subcommittee on Appropriations – Education. I have also been meeting with legislators throughout the past several weeks.

Our top priority continues to be an inflationary increase in the university’s core operating appropriation.

Provide feedback on SEM

We have made good progress toward finalizing a strategic enrollment management plan. The Board of Governors has approved SEM goals, and our SEM councils continue to meet and develop enrollment strategies.

As we move into the latter stages of our SEM planning process, we want to update the campus community and solicit feedback. Please mark your calendars and plan to attend a SEM Town Hall at 12:15-1:15 p.m. Jan. 29 in the PSU Theater. We look forward to seeing you there!

Wall of Fame nominations

Missouri State University has a history of outstanding faculty and staff. We honor employees who have excelled at Missouri State and significantly contributed to the success and positive experiences of students by recognizing them on the Wall of Fame located outside the Plaster Student Union Ballroom.

Nominations are being accepted for next year’s Wall of Fame honorees through March 13. I encourage you to nominate former Missouri State University employees who you believe should be recognized with this honor. You can complete the nomination form online.

You can find more information about the Wall of Fame (including selection criteria and names of prior honorees) on the Alumni Association webpage.

Thanks for all you do for Missouri State!

Clif’s Notes for Dec. 10, 2019

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This week I will review our 2020 state legislative priorities with the Board of Governors.

We are coming off two exceptionally strong years in Jefferson City. As you know, earlier this year the legislature increased our core operating appropriation by $10 million — the largest increase in our 114-year history. In 2018, the legislature passed legislation that eliminated statutory restrictions prohibiting Missouri State University from offering professional doctorate programs.

We have thanked our elected officials for these important victories, and we will continue to thank them as we roll into the 2020 legislative session.

With this record of success in mind, our priorities for the coming legislative session include:

  • Maintaining the university’s core operating appropriation, including the $10 million increase approved last year.
  • An inflationary increase in state funding to pay for customary increases in ordinary business expenses.
  • Funding for a $1.8 million MoExcels grant to expand the Jordan Valley Innovation Center and establish the Missouri Cybersecurity Center of Excellence.
  • A one-time $4.85 million appropriation in matching capital funds to renovate Missouri State’s Professional Building which houses the university’s professional health programs.

You can find more information about our legislative priorities and strategies on the Legislative Advocacy webpage.

If you haven’t already joined the MSU Legislative Network, you can do so online. As part of the legislative network, you will receive regular updates on the university’s work in Jefferson City so you can actively participate in Missouri State’s advocacy efforts.

Thanks for all you do for Missouri State!

Clif’s Notes for June 11, 2019

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Yesterday Governor Mike Parson signed the budget, completing the state’s budgeting process for the coming fiscal year.

As you will recall, this year’s budget includes a $10 million core funding increase for Missouri State University as well as one-time funding to expand the university’s nursing program.

Please join me in thanking Governor Parson and our legislative leaders for supporting MSU.

Highlights from recent higher ed meetings

Last week the Missouri Council on Public Higher Education (COPHE) and the Coordinating Board for Higher Education met.

COPHE spent significant time discussing highlights from the legislative session. These include a list of troublesome bills that did not pass, such as legislation that would have:

  • Impacted the way universities handle Title IX allegations and investigations
  • Limited university boards’ authority to regulate the possession of firearms on campus
  • Prohibited public universities from charging health fees to students
  • Prohibited public universities from requiring students to live on campus after their first year
  • Limited campus free speech policies, required particular policies for religious student organizations, and restricted university boards’ authority to set tuition and fees

COPHE also discussed several bills that the legislature passed, such as legislation that:

  • Establishes Fast Track, a new grant program that will fund tuition and fees for qualifying nontraditional students to pursue degrees in fields that have a workforce shortage
  • Expands higher education benefits for veterans
  • Authorizes dual credit tuition reimbursement for community colleges and universities

MSU was actively involved in each of these legislative victories. Thanks again to everyone who helped make this year a success in Jefferson City.

Development of a funding formula

After the COPHE meeting, Commissioner Zora Mulligan asked me to participate in a meeting with NCHEMS, a nonprofit organization that is assisting the coordinating board to develop a per-student funding formula. I was encouraged by this meeting and the other conversations on this topic.

Our work to eliminate the gap between MSU and the next lowest funded university had a significant impact this year when the legislature increased our appropriation by $10 million. Based on my conversations over the last week, I am hopeful it will have a longer lasting impact as the coordinating board works to develop a funding formula designed to allocate funds based on weighted FTE enrollment.

Details on what this formula will look like and how it will impact universities throughout the state will emerge in the coming months.

Approving programs to address workforce needs

The coordinating board approved a new vision statement. The coordinating board also approved amendments to their rule on residency and transfer in response to CORE 42.

The coordinating board approved mission descriptions for all community colleges and universities throughout the state. This approval followed a years-long process that involved significant work from administrators at institutions throughout the state. Thanks to Dr. Frank Einhellig and everyone else who invested into this process.

The coordinating board also approved program designations for the Fast Track Workforce Incentive Grant program. Missouri State University offers many academic programs that will qualify under the Fast Track program, and we are already working to determine how we can utilize the program at Missouri State to educate non-traditional students for careers in high demand fields.

The coordinating board also gave full approval to Missouri State’s Doctor of Nurse Anesthesia Practice program and approved Missouri State’s Visual Studies MFA program for a two-year follow-up.

Thanks for all you do for Missouri State!